BUSINESSNEWS
Apprentices to
receive 20% pay rise
Apprentices are to get their largestever pay rise of 20% from October,
the Government has announced.
»»Surpassing
recommendations from the Low
Pay Commission, the Coalition
has said that apprentices will
earn £3.30 an hour, an increase
of 57p.
And the national minimum
wage is also due to jump by
20p to £6.70 an hour, it has
been revealed, in a move that
is expected to benefit some 1.4
million workers.
Deputy Prime Minister Nick
Clegg said: “Whether you’re on
low pay or starting your dream
career through an apprenticeship,
you will get more support to help
you go further and faster.”
While the 3% increase in the
national minimum wage is in line
with recommendations from the
Low Pay Commission, the rise
in apprentice pay is significantly
higher than had been expected.
Previously, the commission, an
independent body that advises the
Government on the minimum
wage, had suggested apprentices
should receive a pay increase of
just 7p. But the Government has
rejected this in favour of the more
generous rise of 57p.
Apprentices aged 16 to 18 and
those over 19 in their first year
will be able to take advantage
of the new rate, with all others
receiving the national minimum
wage for their age.
Commenting on the
announcement, CITB’s Director
of Policy Steve Radley, said: “This
increase sends a clear signal that
apprenticeships are a valued
career path for young people in
the UK.
“With UK apprentices already
paid more than their European
counterparts, today’s increase will
make apprenticeships even more
attractive to young people.
“We must now match this by
ensuring that we also lead our
competitors on the quality of
our training, backed up with
better quality information on the
apprenticeships available.’’
Source: www.citb.co.uk
New plan to boost local
authority housebuilding
»»A Government body is
to be set up with the aim of
getting local authorities to build
more homes, Chief Secretary to
the Treasury, Danny Alexander,
has announced.
‘build more homes’
The Housing Finance Institute
will be privately funded and
help councils in areas such as
managing joint ventures between
the public and private sector.
Encouraging
housebuilding
Unveiling the new
organisation, Mr Alexander
also revealed that a raft of other
measures would be implemented
to encourage housebuilding.
He said: “This new institute
will help local authorities to make
a big contribution to ensuring
the UK builds new homes in the
numbers our people need.
“I have prioritised the
investment of almost £2 billion to
ensure we can deliver on average
55,000 new affordable homes a
year until 2020.
“We are also taking the lead in
exploring ways to boost housing
supply.”
Support for
local councils
The need for local authorities
to receive greater support for their
housing schemes was highlighted
in a recent Government review.
The establishment of the
Housing Finance Institute, which
will be created in conjunction
96 » M AY 2015 » CL EARVI E W- UK . C O M
with the Local Government
Association and the construction
industry, is in direct response to
the review.
Keith House, leader of
Eastleigh Borough Council,
and Natalie Elphicke, founder
of housing association Million
Homes, Million Lives, will play a
part in setting up the institute.
Mr House said: “I’m
delighted that the Government
is following through on one of
our key recommendations and
establishing a Housing Finance
Institute.
“By working together, central
and local government, with
the construction and finance
industries, can make a real
difference in boosting housing
supply to solve the nation’s
current housing crisis.”
Housing Minister Brandon
Lewis said: “Today’s measure will
ensure councils can develop the
skills and knowledge they need
to invest in building in their
area, to deliver the homes their
communities want.”
“By placing housebuilding
at the heart of our long-term
economic plan, housing starts are
now at their highest since 2007
and nearly 217,000 affordable
homes have been delivered since
2010. And while building by
councils is now at a 23-year high,
it’s clear they could be doing
more.
Source: www.citb.co.uk